European Union Poised To Approve Lufthansa Takeover Of ITA

ITA

Regulators from the European Union are poised to approve the takeover bid by German national carrier Lufthansa of Italian airline ITA.

ITA is the airline that formed in the wake of the dissolution if Alitalia.

The United States Department of Justice went to court to block a potential merger between Jetblue Airways and Spirit Airlines. A federal judge ruled in the DOJ’s favor.

Lufthansa had to provide new documentation to European Union regulators over concerns about monopolization but did so. It apparently culminates three years of work by the German flag bearer to get a piece of ITA.

Regulators were initially concerned with how Lufthansa’s looming presence would affect antitrust laws, especially on short-haul flights in Europe, among other issues. Lufthansa has indicated that it will not amend its latest documentation and could simply walk away from owning a stake in the airline if regulators do not approve.

This is not the first time that another entity has had an interest in ITA.

In addition to the Lufthansa and ITA Airways merger, the European Commission is also probing the proposed takeover of Air Europa by the IAG, which owns British Airways.